Monday, April 23, 2018

Germany's Angela Merkel urges a gradual political union in Europe

BERLIN — German Chancellor Angela Merkel has called for Europe to take a gradual path toward political union, frustrating the appeals of many of her colleagues for quick, bold moves to fight the continent's raging financial crisis.

After a meeting with British Prime Minister David Cameron, who called for "urgent action," Merkel noted Thursday that the debt crisis has built over the 10 years of the euro's existence and cannot be fixed overnight.

There are big expectations in financial markets that European leaders will agree at a June 28 summit to some new measures to fight the crisis, but Merkel waved the notion away, saying no single meeting would solve the problems.

Experts say the eurozone's structure is not sustainable because while 17 countries share the same currency and interest rates, national governments retain control of budget policies. That means economies are radically different, but in times of economic stability it was not a problem.

That's why European leaders, including Merkel, agree they need to work toward a fiscal union, in which governments pool their spending decisions and their debt responsibility. The question is how quickly that is achieved.

Merkel says it should be gradual. But such a cautious approach to the crisis is frustrating many European officials and fellow leaders as the eurozone flirts with disaster — Greek politicians threaten to pull the country out of the currency bloc and Spain is at risk of bankruptcy.

European officials in Brussels and several eurozone countries are pushing Germany to accept new measures — such as jointly guaranteed debt, called eurobonds, or a central banking authority — that would help defuse concerns about excessive debt in weak countries.

Comments

Yemen health officials: Saudi-led coalition bombed a wedding in northern Yemen on Sunday, killing at least 15

Yemen health officials: Saudi-led coalition bombed a wedding in northern Yemen on Sunday, killing at least 15
Updated: 1 hour ago

GM, Korean union reach tentative agreement on wages, workers

GM, SKorean union reach tentative agreement on cost cutting, new car models for GM Korea factories
Updated: 1 hour ago

The Latest: China says 36 died in North Korea traffic crash

China's foreign ministry says 32 Chinese citizens and four North Koreans have been killed in a traffic accident in southern North Korea
Updated: 1 hour ago

Britain's Duchess of Cambridge in labor with 3rd child

Kensington Palace says Prince William's wife, the Duchess of Cambridge has entered a London hospital to give birth to the couple's third child
Updated: 1 hour ago

Britain's Duchess of Cambridge in labor with 3rd child

Kensington Palace says Prince William's wife, the Duchess of Cambridge has entered a London hospital to give birth to the couple's third child
Updated: 1 hour ago
Korean Air heiresses to resign as smuggle probe widens

Korean Air heiresses to resign as smuggle probe widens

Korean Air Lines says daughters of chairman to resign over smuggling probe, scandals
Updated: 1 hour ago
HRW: 'Men only' job ads show ongoing discrimination in China

HRW: 'Men only' job ads show ongoing discrimination in China

A human rights group says gender discrimination is widespread in the Chinese work force, with many hiring advertisements openly calling only for male applicants
Updated: 1 hour ago

China's foreign ministry says 32 Chinese and 4 North Koreans died in North Korean traffic accident

China's foreign ministry says 32 Chinese and 4 North Koreans died in North Korean traffic accident
Updated: 1 hour ago

Kensington Palace says the Duchess of Cambridge has been admitted to a hospital in the "early stages of labor"

Kensington Palace says the Duchess of Cambridge has been admitted to a hospital in the "early stages of labor"
Updated: 1 hour ago

Here is the latest Florida sports news from The Associated Press

Here is the latest Florida sports news from The Associated Press
Updated: 1 hour ago